Adv Mgt 6655 SU17 Exam Questions With
Correct Answers
Which of the following listings correctly describes the order in which the four
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types of budgets must be prepared? - CORRECT ANSWER✔✔-Sales, production,
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direct materials purchases, cash disbursements.
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Fargo Mfg., a small business, is developing a budget for next year. Which of the
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following steps should Fargo perform first? - CORRECT ANSWER✔✔-Forecast
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Fargo's sales volume. | |
Which of the following types of budgets is the last budget to be produced during
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the budgeting process? - CORRECT ANSWER✔✔-Cash
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In an organization that plans by using comprehensive budgeting, the master
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budget is - CORRECT ANSWER✔✔-A compilation of all the separate operational
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and financial budget schedules of the organization.
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While an operating budget is a key element in planning and control, it is not likely
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to - CORRECT ANSWER✔✔-Set out long-range, strategic concepts.
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After the goals of the company have been established and communicated, the
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next step in the planning process is development of the - CORRECT ANSWER✔✔-
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Sales budget. |
, Pro forma financial statements are part of the budgeting process. Normally, the
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last pro forma statement prepared is the - CORRECT ANSWER✔✔-Statement of
| | | | | | | | | | |
cash flows.
|
The master budget - CORRECT ANSWER✔✔-Contains the operating budget.
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The preparation of a comprehensive master budget culminates with the
| | | | | | | | | |
preparation of the - CORRECT ANSWER✔✔-Cash budget.
| | | | | |
Wilson Company uses a comprehensive planning and budgeting system. The
| | | | | | | | | |
proper order for Wilson to prepare certain budget schedules would be - CORRECT
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ANSWER✔✔-Cost of goods sold, income statement, balance sheet, and
| | | | | | | | | |
statement of cash flows. | | |
Which one of the combinations listed correctly depicts the chronological order of
| | | | | | | | | | | |
preparation for the following budgets? | | | |
Cost of goods sold budget
| | | |
Production budget |
Purchases budget |
Administrative budget - CORRECT ANSWER✔✔-II, III, I, IV.
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Which one of the following best describes the order in which budgets should be
| | | | | | | | | | | | | |
prepared when developing the annual master operating budget? - CORRECT
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ANSWER✔✔-Revenue budget, production budget, direct material budget. | | | | | |
The foundation of a profit plan is the - CORRECT ANSWER✔✔-Sales forecast.
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Correct Answers
Which of the following listings correctly describes the order in which the four
| | | | | | | | | | | | |
types of budgets must be prepared? - CORRECT ANSWER✔✔-Sales, production,
| | | | | | | | | |
direct materials purchases, cash disbursements.
| | | |
Fargo Mfg., a small business, is developing a budget for next year. Which of the
| | | | | | | | | | | | | | |
following steps should Fargo perform first? - CORRECT ANSWER✔✔-Forecast
| | | | | | | | |
Fargo's sales volume. | |
Which of the following types of budgets is the last budget to be produced during
| | | | | | | | | | | | | | |
the budgeting process? - CORRECT ANSWER✔✔-Cash
| | | | |
In an organization that plans by using comprehensive budgeting, the master
| | | | | | | | | | |
budget is - CORRECT ANSWER✔✔-A compilation of all the separate operational
| | | | | | | | | | |
and financial budget schedules of the organization.
| | | | | |
While an operating budget is a key element in planning and control, it is not likely
| | | | | | | | | | | | | | |
to - CORRECT ANSWER✔✔-Set out long-range, strategic concepts.
| | | | | | | |
After the goals of the company have been established and communicated, the
| | | | | | | | | | | |
next step in the planning process is development of the - CORRECT ANSWER✔✔-
| | | | | | | | | | | |
Sales budget. |
, Pro forma financial statements are part of the budgeting process. Normally, the
| | | | | | | | | | | |
last pro forma statement prepared is the - CORRECT ANSWER✔✔-Statement of
| | | | | | | | | | |
cash flows.
|
The master budget - CORRECT ANSWER✔✔-Contains the operating budget.
| | | | | | | |
The preparation of a comprehensive master budget culminates with the
| | | | | | | | | |
preparation of the - CORRECT ANSWER✔✔-Cash budget.
| | | | | |
Wilson Company uses a comprehensive planning and budgeting system. The
| | | | | | | | | |
proper order for Wilson to prepare certain budget schedules would be - CORRECT
| | | | | | | | | | | |
ANSWER✔✔-Cost of goods sold, income statement, balance sheet, and
| | | | | | | | | |
statement of cash flows. | | |
Which one of the combinations listed correctly depicts the chronological order of
| | | | | | | | | | | |
preparation for the following budgets? | | | |
Cost of goods sold budget
| | | |
Production budget |
Purchases budget |
Administrative budget - CORRECT ANSWER✔✔-II, III, I, IV.
| | | | | | |
Which one of the following best describes the order in which budgets should be
| | | | | | | | | | | | | |
prepared when developing the annual master operating budget? - CORRECT
| | | | | | | | | |
ANSWER✔✔-Revenue budget, production budget, direct material budget. | | | | | |
The foundation of a profit plan is the - CORRECT ANSWER✔✔-Sales forecast.
| | | | | | | | | | |
